Apple and Meta AR/VR headset wars

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This week we are covering…

💣 Apple and Meta AR/VR headset launches

🤖 The good and bad: AI in gaming news this week

🕹️ Niantic’s mixed reality game Wol

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Apple’s Vision Pro and Meta Quest 3 supercharge web3 gaming

The web3 and metaverse gaming headset wars are officially on.

Apple has just launched the $3,499 Vision Pro headset at the annual WWDC conference. Created to support both AR and VR apps, the Vision Pro boasts of IR cameras and LED illuminators on the inside as well as LiDAR and traditional camera sensors on the exterior, along with Apple’s 1st 3D camera.

The tech giant teased a Disney partnership that promises new experiences for the headset, from fresh new ways to enjoy Disney+ shows to AR demos for basketball games. Apple also touted the Vision Pro’s new Optic ID authentication system that uses the human iris for unlocking and signing on to the device - a show of adherence to its security goals.

The $500 Meta Quest 3, a new VR headset arriving this fall, won’t be left behind as a major technical upgrade from the previous generation with high-res color mixed reality (Meta Quest 2 had B&W passthrough and Meta Quest Pro has color passthrough).

It’s also 40% thinner, more comfortable, offers better displays and resolutions, and powered by Qualcomm’s next-gen Snapdragon chipset for twice the graphical performance and crisp details in immersive games.

Why this is BIG gaming news: Meta has always had laser-sharp focus on developing the metaverse, while Apple has a knack for taking emerging tech and polishing them for mass consumers. Their new gen of headsets can amplify the metaverse and blockchain-powered gaming via the interactive intersection of avatars, digital ownership, and mixed reality in novel immersive experiences.

The good and bad: AI developments in gaming this week

The good: Tech giant Nvidia releases a demo of its NVIDIA Avatar Cloud Engine (ACE) for Games at the annual COMPUTEX 2023 trade show, touting “the future of video games” in a depiction of an AI-generated ramen shop in a cyberpunk work, alongside a non-player character (NPC) behind the bar speaking with the player.

The AI-infused character (including facial animation), also injected with large language models, is a preview of all kinds of characters that can be generated.

In Nvidia’s words, it’s to “transform games by bringing intelligence to NPCs through AI-powered natural language interactions."

The bad: Games studio Rayark has come under fire for allegedly firing artists in order to use AI art.

The accusations, along with numerous examples of artwork, have been shared across Twitter, including a recent interview of the Taiwan-based company’s CTO lauding the use of AI in art, calling it “a natural evolution” for the gaming space.

Rayark has responded and said the rumors are untrue, but admitted to watching the use of AI-generated art in the industry and staying open-minded on it.

Qualcomm touts open XR developer ecosystem for Snapdragon spaces [Link]

Qualcomm Technologies has introduced new features to its Snapdragon Spaces XR Developer Platform, creating an open XR ecosystem.

The latest Spaces Software Development Kit (SDK) release includes Dual Render Fusion which allows developers to extend 2D mobile apps into 3D experiences without prior XR knowledge, and combines smartphone simplicity with AR glasses' immersive capabilities.

The important context: Leading XR companies are utilizing Snapdragon Spaces for a wide range of applications, including enterprise and consumer VR, MR, and AR, across various categories. For gaming and entertainment, these include AmazeVR, DB Creations, Mirrorscape, Resolution Games, and SKonec.

The Snapdragon Metaverse Fund, which pours funding for innovation into leading XR firms and offers developer ecosystem grants, also invests in Survios, a VR game developer and software publisher.

Pokemon Go creator Niantic’s mixed reality game Wol [Link]

Niantic, the creator of AR games such as Pokemon GO, unveils Wol, an educational mixed-reality game that takes players through California’s Redwood forest.

The inside details:

• Powered by AI and the 8th Wall platform’s Metaversal Deployment, Wol targets providing immersive and educational experience across multiple platforms through a Northern Saw-whet owl as the guide and an interactive recreation of the Redwood forest.

• Thanks to AI, players can have natural conversations with Wol and learn more about the forest ecosystem and wildlife.

• While accessible on smartphones and tablets, Wol is said to be best experienced on Meta Quest Pro,Meta Quest 2, or Meta’s other high-end mixed-reality headsets.

🏃‍♂️Quick Hits

• Decentralized exchange PancakeSwap shifts into GameFi, announcing CAKE and NFT burning and reward offers. (Link)

• Roblox bans players from posting the single letter W in message chat - Here’s why. (Link)

• Rumors that the upcoming Grand Theft Auto VI will incorporate crypto and NFTs have once again surfaced. (Link)

• The new game Attack on Titan VR: Unbreakable is coming to Meta 3 in Winter 2023. (Link)

• The Jot Art (JOT) AI metaverse is in the works, combining LLMs like GPT4 with NFTs and mixed reality for its series of games. (Link)

• European game studio Maniac Panda Games aims to onboard mainstream players to Web3 with its flagship MMO title. (Link)

• Hyper-casual gaming is alive and well. (Link)

• In a new web3 gaming team-up, the Telos blockchain can now access game distribution through GameStop Playr, the company’s planned web3 game launcher. (Link)

• Google triples the bounty for hunters who report sandbox escape chain exploits targeting its Chrome web browser. (Link)

• The 1st major adjustment to its updated payouts system, Epic now rewards Fortnite creators for how long people play their experiences. (Link)

• 0N1 Force embarks on its comeback tour with Theia3D, coming to Fortnite as it embraces the metaverse. (Link)

• Spark Defense Alpha is a MOBA defense game that’s out to redefine the genre through progressive threat levels and dynamic crafting. (Link)

• The UK, Germany, and France are a few in Western Europe investing heavily in developing new tech, particularly in gaming. (Link)

• US gamers are increasing in numbers, yet there’s a drop in consumer spending on video game products. (Link)

• Nakamoto Games forms ties with the Thai government and select universities to introduce blockchain gaming. (Link)

• Undeads Metaverse rolls out the zombie-filled game Undeads Runner. (Link)

• QWAN Foundation launches a universal gaming token for web3. (Link)

• The Witcher emerges as one of the most successful game series of all time, selling 75M+ copies. (Link)

• Digital gaming: North America leads the way in revenue generation, closely following Asia-Pacific. (Link)

• As it moves out of the shadow of Axie Infinity, Ronin Network launches the frantic all-guns-a-blazing NFT fest that’s The Machines Arena. (Link)

• Pink Moon Studios, a leader in web3 gaming, unveils "KMON: World of Kogaea," an open-world 3D game utilizing NFTs and advanced web3 gaming tech. (Link)

💸 Funding & Partnerships

• Cogito Protocol collaborates with Unicorn Ventures, a “community-backed” VC fund focusing on DeFi, the metaverse, and blockchain gaming. (Link)

• NFT marketplace Tabi secures $10M to develop gaming ecosystem on BNB Chain. (Link)

• Devour, a leading restaurant tech firm, collaborates with AlterVerse, a leader in gaming to “gamify” the restaurant experience. (Link)

• EA Sports partners with Nike to bring Nike .SWOOSH NFTs to its games. (Link)

• PixelCraft Studios, the SG-based company behind web3 game Aavegotchi, posts triple revenue in FY 2022. (Link)

• The global metaverse in gaming market is estimated at $22.7B in 2023, projected to reach $119.2B by 2028. (Link)

All content on this newsletter is for informational purposes only and does not aim to serve as or replace expert investment advice.

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If you are a startup building in the metaverse / web3 ecosystem and are raising capital, please reach out to Sfermion. Sfermion is an investment firm focused on accelerating the emergence of the metaverse.

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